Automated Promotion Testing via Consumer Segmentation

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Solution Overview

Problem

Current promotion optimization methods rely on backward-looking, aggregate historical data, which fails to account for unanticipated events and individual consumer behavior, leading to inefficient promotion strategies and potential long-term damage to brand equity.

Innovation Solution

Implement a forward-looking approach by administering test promotions to purposefully segmented subpopulations, using actual revealed preferences to generate effective general public promotions, and iteratively testing various variables to optimize promotion strategies.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Ease of manufacture

If backward-looking aggregate historical data is used for promotion optimization, then data collection is simple, but the promotion strategy effectiveness deteriorates due to inability to account for unanticipated events and individual consumer behavior

Engineering Contradiction:

Improvedata collection simplicityVSAvoidpromotion strategy effectiveness

Core Design Contradiction:

Ease of manufactureVSReliability

Solution Approach 1:

The patent segments the general consumer population into distinct subpopulations based on shared characteristics and behaviors. By administering test promotions to specific subpopulations rather than the general public, the system captures individual consumer behavior patterns while maintaining manageable data collection processes. This segmentation enables the system to account for unanticipated events and individual preferences without requiring complex aggregate data collection.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

The system performs preliminary testing with test promotions on segmented subpopulations before launching general public promotions. This preliminary action allows the system to gather insights into consumer behavior and preferences in advance, identifying winning promotion variables through controlled experimentation. The results from these preliminary tests inform and optimize the subsequent general public promotion strategy.

Inventive Principle:

Principle #10Preliminary action

2Reliability

If test promotions are administered to purposefully segmented subpopulations, then promotion strategy effectiveness improves through better consumer insights, but device complexity increases due to segmentation and iterative testing requirements

Engineering Contradiction:

Improvepromotion strategy effectivenessVSAvoidsegmentation and testing system complexity

Core Design Contradiction:

ReliabilityVSDevice complexity

Solution Approach 1:

The system employs a multi-functional platform that integrates several capabilities into a unified solution: consumer segmentation, test promotion administration, response tracking, data analysis, and general public promotion generation. This universal system handles multiple tasks through a single coordinated mechanism, reducing the need for separate complex systems for each function while maintaining the ability to perform iterative testing on segmented subpopulations.

Inventive Principle:

Principle #6Universality (Multi-functionality)

Solution Approach 2:

The system incorporates continuous feedback loops where consumer responses to test promotions are tracked and analyzed. This feedback informs subsequent testing iterations and ultimately shapes the general public promotion strategy. The feedback mechanism allows the system to learn from each test promotion and progressively optimize promotion variables without requiring manual intervention at each step.

Inventive Principle:

Principle #23Feedback

3Manufacturing precision

If iterative testing of promotion variables is conducted on segmented subpopulations, then manufacturing precision of promotion strategies improves, but loss of time increases due to multiple testing cycles

Engineering Contradiction:

Improvepromotion strategy optimizationVSAvoidtesting duration

Core Design Contradiction:

Manufacturing precisionVSLoss of time

Solution Approach 1:

The system creates simplified copies or representations of the general public promotion scenario through test promotions on segmented subpopulations. These test promotions replicate key variables and conditions of the intended general public promotion in a controlled, smaller-scale environment. By testing on copies rather than the full population, the system achieves precise optimization of promotion strategies without the time cost of large-scale iterative testing.

Inventive Principle:

Principle #26Copying

Solution Approach 2:

The system conducts testing on partial populations (segmented subpopulations) rather than the entire general public. This partial action allows for multiple iterative testing cycles to refine promotion variables with greater precision while limiting the time investment compared to full-scale testing. The segmented approach enables excessive testing iterations on small groups that would be impractical with the general population.

Inventive Principle:

Principle #16Partial or excessive action

Data Source

PatentUS10636052B2Automatic mass scale online promotion testing

Publication Date: 2020.04.28 MAPLEBEAR INC

AI summary

Methods and apparatus for implementing automated online promotion testing in an efficient and platform-agnostic manner are disclosed. A test management module interacts with a concept generator module, a promotion analytics module, and agnostically interacts with promotion administering platforms to automatically generate, administer, and analyze a large number of test promotions to online consumers in a manner that minimizes labor-intensive changes to the promotion administering platforms.